FXstreet.com (Barcelona) - The Dollar has risen further to trade above 1.0400 level after gaining more than 90 pips during the Asian and European sessions from 1.0335 to post intra-day high at 1.0425. Currently the pair is trading around 1.0415/25, 0.55% above today's opening price action at 1.0356.
Yesterday USD/CHF jumped more than 170 pips in an hour in the late European session from 1.0280 to post 3-week high at 1.0450 on the back of SNB intervention. After that, pair traded lower on consolidation and fell to 1.0335.
Karen Jones, Commerzbank's analyst, USD/CHF is in downtrend despite SNB intervention: USD/CHF even with SNB intervention the rally is regarded as corrective only. It is possible that we will see gains towards tougher resistance at 1.0500/95, where we would expect to see failure (downtrend, Fibo and 55 day ma). Failure here is expected to provoke a retest of the 1.0210/1.0170 recent low and long term Fibonacci retracement. Support at 1.0210/1.0170 is regarded as the break down point to 1.0010/00 then the .9645/the 2008 low.